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The Construction Association of Choice! 2016 Annual Report AGC of South Dakota, HHU Chapter 300 E. Capitol Ave., Suite 1 - Pierre, SD 57501 605-224-8689 - www.sdagc.org

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The Construction Association of Choice!

2016 Annual ReportAGC of South Dakota, HHU Chapter

300 E. Capitol Ave., Suite 1 - Pierre, SD 57501605-224-8689 - www.sdagc.org

It’s crazy how fast a year goes by! Thank you for the opportunity and the privilege to serve as your President of the Associated General Contractors HHU Chapter for 2016, it truly has been an honor.

This year we focused on working relationships with several of the owners we all work with. We worked diligently with the SDDOT on many issues and showed accomplishments on several task items, while starting several new ones. The working relationship between the SDDOT and AGC is headed in a great direc-tion. Gains have been made with the Rapid City Engineering Department which is encour-aging as well. Workforce Development is still one of our top issues, and will be for several years. We have a great group of people that are putting a lot of heart and soul into it, and I am excited to see their solutions.

The work that the committee members and AGC staff has done is truly impressive. We are fortunate to have an enthusiastic staff to work with us and make our Industry the best it can be in South Dakota. The members of the AGC do so much for the betterment of our industry that I am humbled by their unselfish acts and deeds.

I was truly encouraged by the number of new/younger members at the State Convention in Sioux Falls. This shows that we have a large pipeline of great leadership to come for the future generations. Their involvement in train-ing, forums and socials will improve all of our companies.

The upcoming year has a lot to look forward to under the leadership of John Morris as our President, Jared Gusso as Senior Vice Presi-dent, Tim Forester as Vice President and Cindy Monnin as Secretary/Treasurer. I am confi-dent they will keep us on a direct path for great success, so let’s all get behind them and give them the support they need. Thanks again, and I hope 2017 is a great year for you and your company, as well as our Industry.

The Construction Association of Choice!

Page 2 I 2016 HHU Annual Report

2016 PRESIDENT'S MESSAGE

Dean Herll2016 AGC of SD HHU

PresidentBX-Civil & Construction

Dell Rapids, SD

2016 CHAPTER OFFICERS

President - Dean Herll, Dell RapidsSenior VP - John Morris, PierreVP - Jared Gusso, Sioux FallsSec./Treas. - Cindy Monnin, Sioux FallsPast Pres.- Patty Nohr, Sioux Falls

2016 DIRECTORS

Floyd Schafer................... Rapid CityTim Davis ............................. HuronTim Foerster................... Rapid CityHarold Goeden.............. Sioux FallsWayne Lloyd................. FlandreauJohn Shoemaker ............ WebsterTodd Waldera.................. SpencerKyle Jensen ................... Mobridge

NATIONAL GOVERNORS

Kari Karst .................... Dell RapidsDave Fleck .................... Sioux Falls

LIFE NATIONAL GOVERNORS

Gary Johnson ...................Ft. PierreMerle Davis ................. Dell RapidsTom Graves .................. Sioux FallsLynn Kading ................ Rapid CityMark Knight ................... Aberdeen

ASSOCIATE DIVISION OFFICERS

President - Craig Lauritzen, Sioux FallsVP - Rick Langguth, Rapid CitySec./ Treas – Casey Dolney, Rapid City

The Construction Association of Choice! Be the Voice of the Construction Industry in South Dakota

LEGISLATIVE

• AGC had a full-time presence at the state capitol for the 2016 Legislative Session. AGC Lobbyist, Deb Mortenson reviewed all 419 bills and resolutions introduced. AGC had a busy year with 14 bills on the bill tracker that covered topics including bridge funding, economic development, general business, unemployment insurance, and workers’ compensation.

• AGC participated in shaping the outcome of the 2016 election in a big way! There were 10 Constitutional Amendments and Initiated Measures on the ballot. In addition, CONPAC worked to shape the makeup of the South Dakota Legislature by contribut-ing $17,300 to 53 business-friendly legislative candidates. CONPAC also provided funding for Constitutional Amendment R and Initiated Measure 23, ensuring passage of R and defeat of IM 23.

• South Dakota’s Attorney General, Marty Jackley presented his insight on the amendments and measures on the 2016 ballot. It is one of Attorney General Jackley’s responsibilities to write the official ballot explanations for these amendments and measures, so AGC members get the best information available on the impact to the construction industry.

• AGC hosted a another successful Legislative Dinner in 2016. Over 75 Legislators attended the event, as well as, Governor Dennis Daugaard and many other state of-ficials.

• Following the passage of HB 1182 during the 2016 Legislative Session, the AGC HHU Chapter worked diligently with the Dept. of Revenue to clarify how the increased sales tax rate should be applied to construction projects bid before the tax increase became effective. As a result of our cooperative relationship with the Dept. of Revenue, AGC was successful in “Saving YOU Money!”

• Congressional Delegation: AGC members and staff met with our Congressional delegation to discuss future funding and the need for Congress to find a sustainable user-fee based funding mechanism for the next transportation bill and to begin the process now.

• SDDOT: In 2016, accomplishments continued to be made to improve the AGC/SDDOT relationship. There were 14 workgroups addressing key industry issues ranging from, administration, to specifications thru construction. New initiatives were discussed at the successful AGC/SDDOT meeting in December and progress is being made daily on workgroup initiatives. In addition, AGC & SDDOT hosted three Project Scheduling Workshops and three Traffic Control Supervisor Courses in 2016. AGC was also active in the STIP meetings, DBE Special Provision, Smart Work Zones, Road & Bridge Specifications and Transportation Commission meet-ings in 2016.

• Local Governments: The AGC worked closely with both cities of Sioux Falls and Rapid City, hosting meetings on a regular basis. The Rapid City Municipal & Utili-ties committee was active reviewing the City Spec Book and meeting with Mayor Allender and other City staff. SFCA continues to meet with City of Sioux Falls of-ficials on various issues on a monthly basis and helped craft new General Condition Provisions.

• Department of Labor: AGC regularly attends all Unemployment Insurance and Worker Compensation Advisory Board meet-ings to represent the industry.

• Corps. of Engineers: In May, AGC co-hosted the annual Corps. of Engineers meeting held in Omaha, NE.

• Tribal: In 2016, AGC hosted an OSHA 10-Hour training for the Oglala Sioux Tribe.

INDUSTRY RELATIONSHIPS

2016 HHU Annual Report I Page 3

Page 4 I 2016 HHU Annual Report

Promote the Construction Industry with Ski l l , Integrity, Responsibi l ity & Family

In 2016, approximately 2,700 individuals used AGC of South Da-kota, HHU Chapter services or attended networking events! This figure does not include those we touched through our numerous workforce development efforts, committee meetings & membership visits!

112 Professional Development/Safety Courses - 1,465

Legislative Dinner - 98

Summer Golf & Fishing Tournaments - 297Summer Socials - 135

Spring & Fall Membership Meetings - 267Construction Leadership Pheasant Hunt - 48

Annual State Convention - 394

MEMBERSHIP• Our 2016 total membership is 253 (107 contractors and 146 associates). This compares

to 251 (106 contractors and 144 associates) at this same time in 2015. Membership growth is on the rise! AGC staff is constantly visiting member and non member compa-nies to grow our membership.

• Networking opportunities are a key ingredient of member involvement. Membership Meetings were held in March & October in Rapid City & Sioux Falls and our Summer Socials were held in August in both locations. Our Associate Division hosted Summer networking events (fishing & golf tournaments) in June & July in Pierre, Rapid City & Sioux Falls. The State Convention was held January 9-11, 2017 at the Downtown Holi-day Inn in Sioux Falls. All of these events were very successful & well attended!

• The HHU Construction Leadership group (younger members) were active in 2016. Two networking socials were held, one in Sioux Falls and one in Rapid City to get to-gether and brainstorm ways to get more active in AGC. In 2016, they created their own Facebook page! In addition, the Construction Leaders Hunt was held in November at Broken Arrow Farms in Pierre.

• The AGC Board of Directors & Committee leaders developed a new HHU Strategic Plan. The strategies have been implemented into the daily operations of our associa-tion and committee work. These goals will make the AGC HHU Chapter an even better construction Association!!

• During the annual AGC of America National Chapter Leadership Conference in Washing-ton, D.C., the AGC of South Dakota received the 2016 “Small Chapter of the Year” Award! This award recognizes Chapters which have developed outstanding programs and excelled at achieving tangible accom-plishments during the calendar year. In addi-tion, our Chapter was also awarded two PAC awards!

• The AGC online store continues to see new orders and new apparel items on a regular ba-sis! Log on to: www.sdagc.org/online store and browse the selection!

• 2016 was our second year in partnership with the BirdDog HR Jobs Bank. The 2016 cam-paign resulted in 334 jobs posted by 38 dif-ferent member firms with OVER 15,000 jobs viewed on the jobs bank. This campaign runs every Spring, so get registered today!

• AGC re-launched our new and improved Directory App in 2016! The app is available for download to all members who have a smart phone.

• In 2016, Jason Smiley became the AGC’s Legal Counsel, taking over for Ron Schmidt. Many members actively utilize his free legal advice as a member benefit. Other valuable member benefits offered range from office supply discounts, to the 401k program, to $500 - $1000 savings on new vehicles. If you’re not taking advantage of these offers, you’re not saving money!

HHU Membership Numbers

251

248

235

2013 2014 2015 2016

253

MEMBER SERVICES

D eve l o p a F u t u re W o r k fo rc e i n t h e C o n s t r u c t i o n I n d u s t r y

I n c r e a s e M e m b e r s h i p b y O f f e r i n g V a l u e A d d e d B e n e f i t s a n d U s i n g Tr e n d i n g C o m m u n i c a t i o n s

Promote the Construction Industry with Ski l l , Integrity, Responsibi l ity & Family

SAFETY & TRAINING• 112 Safety Classes were conducted in eight different

cities in South Dakota totalling 1465 participants in 2016. In addition, AGC conducted countless member services & site visits.

• In conjunction with SDDOT, AGC initiated a new train-ing, Traffic Control Supervisor (TCS) in 2016. This program was designed to comply with the SDDOT Spe-cial Provision for Traffic Control Supervisor.

• In 2016, AGC added three new course offerings; Rigger/Signal Person and Gen-eral Industry OSHA 10 & 30.

• The Safety Summit was held twice in 2016. A record number of Safety Profession-als met to discuss current safety topics in a fo-rum like setting. A major highlight was Sheila Stanley, from the new South Dakota OSHA Area Office, presenting. AGC worked hard in 2016 to build a relationship with her and her staff. In addition, the Safety Committee & MSHA Alliance also met to set a direction for the upcoming year.

WORKFORCE DEVELOPMENT• Workforce Development has been a leading focus for AGC members and

others in the local construction industry for quite some time. To keep up with the current demands of our membership, the AGC hired a new Workforce Development Coordinator, Dustin Baertsch. Dustin has 10 years of experience in construction and another four years as an Admis-sions Counselor for Western Dakota Tech.

• The AGC was busy in 2016 traveling to various middle and high schools promoting the construction industry. During many of those visits, the AGC training trailers were on display for students to use.

• The training trailers were showcased at several high schools, middle schools, orga-nizations and events statewide in 2016! The largest event displaying the trailers was the State Basketball tournaments in Aberdeen and Sioux Falls. Individuals from across the state were introduced to the many exciting career opportunities in the construction industry.

• The HR Alliance had an active meeting schedule in 2016. Some of the topics dis-cussed were: I-9 forms, overtime regulations, and minimum wage changes. In addi-tion, a Black Hills group became active in 2016.

• The AGC along with Governor Dennis Daugaard, via an Executive Proclamation, pro-claimed October 2016 as “Careers in Construction Month” across our state which was a great lead into our Construction Awareness Days Events!

• Construction Awareness Days was held in five cities across South Dakota in 2016. Western Dakota Tech (WDT) in Rapid City, Oahe Speedway in Pierre, Mitchell Tech in Mitchell, CTE Academy in Sioux Falls, and Lake Area Tech in Watertown. Over 640 students from forty-seven different area high schools joined the AGC for a day of hands-on construction activities, education, and fun!

• Scholarships were awarded to 29 area students perusing a career in construction totalling $26,000! In addition, AGC part-nered with Lake Area Tech and awarded a heavy equipment operator student with a “Build Dakota” Scholarship.

• In 2016, AGC partnered with NCCER to create South Dakota specific marketing materials! In addition, our internal pro-motional items were revamped including flyers, trading cards & edits made to www.buildsouthdakota.com!

SAFETY SAMSafety Sam stands over 9 feet

tall and has a wing span of 8 feet. It’s anticipated that

his shoe size would be around a 21!

Training Trailers

Did you know that over 2,300 people

toured or utilized one of our three training

trailers in 2016?WOW!

SAFETY SAMSafety Sam stands over 9 feet

tall and has a wing span of 8 feet. It’s anticipated that

his shoe size would be around a 21!

SAFETY & TRAINING

In 2016, OSHA 10-Hour was the Most Popular Course Training with

253 Attendee’s. 2nd Most Popular?

Forklift Training!

2016 HHU Annual Report I Page 5

• The annual State Convention was held at the Downtown Holiday Inn in Sioux Falls, SD. Almost 400 attendees enjoyed exhibitors, top-notch speakers, informative meetings and FUN social events. Our key note speaker was Boston Marathon bombing survivor Jeff Bauman. Thank you sponsors and exhibitors for making this event a success!

• The Awards Ceremony was held on Tuesday night at the Washington Pavilion. Congratulations to the following individuals and companies on their successes!• Young Construction Professional Award - Derek Suhr, Quinn Const.• Good Citizen Award - Rob Everist & Bob Matzke• Build South Dakota Category II - Mainline Contracting, Inc.• Build South Dakota Category III - Knife River Midwest • Build South Dakota Category III - D&G Concrete Construction

A n n u a l S t a te C o n ve n t i o n

G e t t i n g S o c i a l - J o i n t h e S o c i a l M e d i a R evo l u t i o n !

Page 6 I 2016 HHU Annual Report

SAFETY SAMSafety Sam stands over 9 feet

tall and has a wing span of 8

feet. It’s antici- pated that his shoe size would

ARE YOU FOLLOWING US?

Top 3 Social Media Facts of 2016

1. Over 75% of all Internet users use

social media.

2. 1 out of every 3 people in the U.S.

will be using Instagram by 2018.

3. For the 18-49 age group, YouTube

has greater reach than any cable

network.

I n c r e a s e M e m b e r s h i p b y O f f e r i n g V a l u e A d d e d B e n e f i t s a n d U s i n g Tr e n d i n g C o m m u n i c a t i o n s

SAFETY SAMSafety Sam stands over 9 feet

tall and has a wing span of 8 feet. It’s anticipated that

his shoe size would be around a 21!

GETTING SOCIAL IN 2016

AGC has over 641 Twitter Followers, a 12% increase

from last year!

We’re fast approaching 400 likes on Facebook.

SAFETY & TRAINING CONT.• Supervisor Training Program (STP) gained popularity in 2016. There were 12 classes hosted

with 142 attendees trained, in addition the Project Manager Development Program (PMPD) was established.

• Work Zone Awareness Week (WZAW) is an annual spring campaign held at the start of con-struction season to encourage safe driving through highway work zones. The AGC, SD-DOT, FHWA and other state officials kicked-off WZAW with a press conference on Silver Street in Rapid City! In addition, the AGC also coordinated our 4th Annual - 4th grade coloring/billboard contest. Billboards were up in Lennox, Presho & Belvidere. Thank you to those member companies that sponsor this program!

• AGC has three Safety Sam work zone awareness barrel guys who are ready for use on different jobsites across the state. Sam was up on Interstate 90 at Murdo during the Sturgis Motorcycle Rally, as well as the Deadwood Ave. exit in Rapid City and at J&L Harley Davidson in Sioux Falls!

SUMMARY - Get Involved! Join a Committee! Attend an Event!

These are only a few of the many things the AGC does for you, the more you become involved, the more ben-efits you will receive. Thank you for your commitment to the AGC and for making 2016 a SUCCESS!! Great things are ahead in 2017, GET INVOLVED! Joining an AGC committee is a great way to get started. All mem-bers are encouraged to participate on a committee. A full list of committees is available on our website www.sdagc.org - please contact us today to find out how you can become a more active part of our vibrant and grow-ing association!!

2016 HHU Annual Report I Page 7

AG C o f A m e r i c a S u p p o r t - S o u t h D a kot a R o ot s !

• In 2016, AGC Cares hit the ground running making contributions and volunteering on many worthy projects. AGC members participated in several community projects including; serving breakfast at “The Banquet” in Sioux Falls and serving lunch at the Cornerstone Rescue Mission in Rapid City. AGC Cares also made monetary donations to a number of worthy causes including; two AGC of Louisiana staff members and two companies with local AGC ties who were severely im-pacted by the 2016 Louisiana flooding. In addition, dona-tions were made to the children of a young construction worker who was tragically killed in a building collapse and to the children of a AGC Member employee who tragically lost his life.

• Our annual Build South Dakota award winners each received a $500 check made out to the charity of their choice. In 2016, charities receiving a donation were; The Children’s Home Society from Mainline Contracting and The Rapid City Club for Boys from Heavy Con-structors.

• The goal behind “AGC Cares” is to give back to com-munities who support the construction industry by help-ing our members & their employees in times of need. When duty calls, together AGC and our members can make a difference by lending an extra hand! Take the time to participate in a project this year!

A n n u a l S t a te C o n ve n t i o n

I n t h e C o m m u n i t y - AG C C a re s !

G e t t i n g S o c i a l - J o i n t h e S o c i a l M e d i a R evo l u t i o n !

• AGC of America: The Black Hills played host to the “North American Construction Federation’s (NACF)” annual meeting in 2016. The NACF is comprised of the senior elected officers of the AGC of America, the Canadian Construction Association and the Mexican Chamber of the Construction Industry. During this event all associations gathered to discuss current economic views in their areas and hot industry topics. This event was moderated by Mark Knight.

• In 2016, our very own Mark Knight of Knight Construction Services, LLC served at the AGC of America President! Our Chapter honored Mark by hosting a social in conjunction with the National Convention in San Antonio, TX. Over 110 AGC Members were in attendance to support Mark taking the reigns! Since then, Mark and Toni have been traveling across the coun-try promoting the construction industry and AGC. They have represented South Dakota well! We are proud, Mark is the first ever South Dakotan to hold this prestigious title. Mark’s term will end in March at the National Convention in Las Vegas, NV. We encourage all of you to attend and be present to support Mark and our great state!

The Construction Association of Choice!Your AGC Staff Working for YOU!

Toby L. CrowExecutive Vice Presidente-mail: [email protected]: 605-366-1278Pierre Office

Lindsay WillitsDirector of Marketing & Member Servicesemail: [email protected]: 605-415-2641Rapid City Office

Becky HedmanOffice Administratore-mail: [email protected] Office

Michael O’NealDirector of Workforce Dev. & Safetyemail: [email protected]: 605-951-1665Sioux Falls Office

Dustin BaertschWorkforce Development Coordinatoremail: [email protected]: 605-209-5861Rapid City Office

Jim HeaphySafety Traineremail: [email protected]: 605-261-1567Rapid City Office

Deb Mortenson, Lobbyiste-mail: [email protected]: 605-280-9372Pierre Office

AGC OFFICE LOCATIONS:Pierre (main)300 E. Capitol Ave, Suite 1Pierre, SD 57501

Rapid City2771 Plant St.Rapid City, SD 57702

Sioux Falls2307 W. 57th St. Suite 101Sioux Falls, SD 57108

300 E. Capitol Ave., Suite 1 * Pierre, SD 57501www.sdagc.org * 605-224-8689

AGC of South Dakota Highway Heavy Utilities Chapter

2017 AGC of SD KEY DATES Feb. 21-22, 2017 - AGC / SDDOT Meeting - OacomaFebruary 27, 2017 - AGC Legislative Day - Pierre March 6-9, 2017 - AGCA’s Annual Convention - Las Vegas, NVMarch 28, 2017 - AGC Exec., Board & Spring Meeting - Sioux FallsMarch 30, 2017 - AGC Spring Meeting - Rapid CityApril 10-14, 2017 - National Work Zone Awareness Week May 10-11, 2017 - AGC/Corps of Engineers Meeting - Omaha, NEMay 17-18, 2017 - Transp. Construction Coalition Fly-in - Washington, DC June 15-16, 2017 - AGC Fishing Tournament- Pierre/Ft PierreJuly 18, 2017 - AGC Golf Tournament - Sioux FallsJuly 27, 2017 - AGC Board Meeting - Web/Tele-conferenceAugust 9, 2017 - Summer Social - Rapid CityAugust 10, 2017 - AGC Golf Tournament - Rapid CityAugust 16, 2017 - Summer Social - Sioux FallsSept. 24-26, 2017 - AGCA’s Nat’l & Chapter Leaders Conf. - Washington, DCOctober 24, 2017 - AGC Exec., Board & Fall Meeting - Rapid CityOctober 26, 2017 - AGC Fall Meeting - Sioux Falls Nov. 2-3, 2017 - AGCA’s Hwy & Trans Infrastructure Mtg - PhoenixNov. 3-4, 2017 - CLC Hunt - PierreDec. 6-7, 2017 - AGC / SDDOT Meeting - PierreJanuary 15-17, 2018 - State Convention - Deadwood

MISSION STATEMENT“The AGC of South Dakota and its Members Promote Skill, Responsibility and Integrity Through Construction and Services Which Enhance the Quality of Life for All Who Live, Work or Travel in South Dakota”

VISION STATEMENT“The Construction Association of Choice”

PURPOSE STATEMENT“To Be the Voice That Promotes and Represents the Construction Industry.”